LEG Stock Recent News

Leggett's (LEG) second-quarter results reflect slow demand in most of the markets served.

Leggett & Platt, Incorporated (NYSE:LEG ) Q2 2024 Earnings Conference Call August 1, 2024 8:30 AM ET Company Participants Cassie Branscum - Vice President, Investor Relations Karl Glassman - President and Chief Executive Officer Benjamin Burns - Executive Vice President and Chief Financial Officer Tyson Hagale - Executive Vice President, President, Bedding Products Samuel Smith - Senior Vice President, President, Furniture, Flooring & Textile Products Conference Call Participants Susan Maklari - Goldman Sachs Bobby Griffin - Raymond James Keith Hughes - Truist Securities Peter Keith - Piper Sandler Operator Greetings and welcome to the Leggett & Platt Second Quarter 2024 Earnings Call. At this time, all participants are in a listen-only mode.

Although the revenue and EPS for Legget & Platt (LEG) give a sense of how its business performed in the quarter ended June 2024, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.

Legget & Platt (LEG) came out with quarterly earnings of $0.29 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.38 per share a year ago.

CARTHAGE, Mo. , Aug. 1, 2024 /PRNewswire/ -- 2Q sales of $1.1 billion, an 8% decrease vs 2Q23 2Q EPS of ($4.39), primarily due to a non-cash goodwill impairment charge 2Q adjusted1 EPS of $.29, a $.09 decrease vs adjusted1 2Q23 EPS 2024 EPS guidance is ($3.43)–($3.58), including impact of non-cash goodwill impairment charge, restructuring charges, real estate gains, and certain other costs 2024 adjusted1 EPS narrowed to $1.10–$1.25; sales guidance lowered to $4.3–$4.5 billion President and CEO Karl Glassman commented, "While our second quarter results reflect the ongoing challenging macro environment, I am immensely proud of our team's execution.

Leggett & Platt's share price has declined by more than 80% over the past 3 years, culminating in a drop of over 25% after the recent dividend cut. Recent weakness in the industry and low-cost competition from overseas have caused revenue and margins to decline, ultimately making the hefty dividend payout unsustainable. The company's challenges are real, but the drop in share price offers an opportunity for long-term investors to generate an attractive return.

Leggett & Platt, Incorporated has cut its dividends after 51 consecutive years of dividend hikes. A key lesson I learned for analyzing dividend stocks is to not just look at the yields and simple payout ratios. Instead, analyze the company's financials more holistically. Looking ahead, I am seeing strong EPS headwinds, inventory issues, and stretched balance sheet.

Legget & Platt (LEG) reported earnings 30 days ago. What's next for the stock?

CARTHAGE, Mo. , May 21, 2024 /PRNewswire/ -- Karl Glassman appointed President and CEO and will continue to serve as Board Chairman Mitch Dolloff resigned as President and CEO and a member of the Board Diversified manufacturer Leggett & Platt announced that its Board of Directors has appointed Karl Glassman as President and Chief Executive Officer, effective immediately.

Its first-quarter results featured declines in key fundamentals. The company also made a deep dividend cut.